First Capital Plus Now Ghana’s Latest Universal Bank
First Capital Plus (FCP) a wholly-owned Ghanaian company which was established in October, 2009 as a Savings & Loans Company has been granted a Class 1 Universal Banking license. This brings to 27 the number of Universal Banks in Ghana.
First Capital Plus has achieved phenomenal growth rates and prior to its new status as a Universal Bank, it was the largest Savings & Loans Company in Ghana with a 16% market share of the advances of savings and loans companies and 19% share of the sector's total Assets.
In September, 2013 FCP was adjudged as the non-bank financial institution of the year 2012 for the company's orientation to marketing & technological innovation, investment in Corporate Social Responsibility and strong financial performance. In October, 2013, First Capital Plus was also awarded as the 10th best performing company for the year 2012 and the best in the Non-Bank Financial Institutions sector at the prestigious Ghana Club 100 (GC100) Awards organized by the Ghana Investment Promotion Centre (GIPC). In was also adjudged the 3rd best growing company.
In a press conference to announce the company's new status as a Universal Bank, CEO of the Bank, John Kofi Mensah stated that the company was issued with the licence effective to carry out the business of a Class 1 Universal Bank under the Banking Act, effective 13th August, 2013. He stated that the official universal banking certificate was signed and issued on 12th November, 2013 after the company was issued with a provisional license in July, 2012 with a list of conditions to be met.
Mr. Mensah stated that First Capital Plus' meteoric rise from the Non-Bank Financial services sector into the banking industry is enough evidence that giving the chance and adequate supervision, the Non-bank financial institutions (NBFIs) can become a feed to Ghana's banking industry. “Indeed the NBFI forms an integral part of agents in monetary policy formulation and economic growth. Further NBFIs, especially micro finance institutions with a niche for small businesses inclusive of family and household ventures are potential ambassadors to poverty alleviation.” He added.
Mr. Mensah cautioned that though it is possible that a significant number of businessmen, with only profit motives might have entered the micro finance sector and as such there's the need for stringent regulation to ensure best practices so the sector does not become an albatross to the banking industry.
Mr. Mensah also stated that it is the company's dealings with the SME sector that has propelled it to achieve these phenomenal growth targets and as such the SME sector will continue to be the bank's core target segment. “What the Universal Banking status offers us is an opportunity to offer more tailor-made products to the growing needs of the SME market with solutions we were hitherto legally constrained from directly providing” he stated. Mr. Mensah also added that First Capital Plus has developed a 5 year strategic plan to be implemented from January, 2014 and of strategic importance is the re-alignment of the company's balance sheet to ensure significant reductions in lending rates.
Mr. Mensah thanked customers for their loyalty over the years and attributed FCP's phenomenal growth to the company's quality and highly motivated human resource, technological innovation, professionalism, and most importantly the company's core value of God-Centeredness.
First Capital Plus Bank currently employs 355 staff and has 15 branches covering five regions. Audited financial results as at December, 2012 indicates that bank currently commands a deposit base of GHs211.11 million and total assets of GH¢286.80million compared to a deposit base of GHs 36.06million and total asset size of GH¢ 47.18 million as at December, 2010, a year after it obtained a Savings and Loans license.
First Capital plus is noted for innovation and it was the first financial institution to introduce an SMS –based deposit solution dubbed SPEEDBANKING which makes it possible for customers to deposit cash into their bank accounts anytime, any day, anywhere through their mobile phones without having to visit the banking hall.